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HomeMy WebLinkAbout2010-06-07 RegularMINUTES OF THE REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF SANTA ANA, CALIFORNIA JUNE 7, 2010 CLOSED SESSION MEETING CALLED TO ORDER ATTENDANCE PUBLIC COMMENTS — None CLOSED SESSION ITEMS CITY HALL 20 CIVIC CENTER PLAZA, 8T" FLOOR SANTA ANA, CA 5:12 P.M. COUNCILMEMBERS Present: MIGUEL PULIDO, Mayor CLAUDIA ALVAREZ, Mayor Pro Tern (5:20 p.m.) P. DAVID BENAVIDES CARLOS BUSTAMANTE MICHELE MARTINEZ VINCENT F. SARMIENTO SAL TINAJERO (5:30 p.m.) ABSENT: None STAFF Present: DAVID N. REAM, City Manager JOSEPH FLETCHER, City Attorney MARIA D. HUIZAR, Clerk of the Council 1A CONFERENCE WITH LEGAL COUNSEL --EXISTING LITIGATION pursuant to Government Code Section 54956.9(a) ■ Michael Foote vs. City of Santa Ana, WCAB case numbers: ADJ716154; ADJ1154485 • Burnham vs. City of Santa Ana OC Superior Court Case No. 30-2009-00117904 CITY COUNCIL MINUTES 1 JUNE 7, 2010 1 B CONFERENCE WITH LABOR NEGOTIATOR pursuant to Government Code Section 54957.6 Agency Negotiators: Personnel Services Executive Director, Kathie Gonzalez Employee Organizations: Santa Ana Service Employees International Union (SEIU) Santa Ana Management Association Santa Ana Firemen's Benevolent Association Santa Ana Police Officer's Association Santa Ana Police Management Association Santa Ana Fire Management Association Confidential Association of Santa Ana RECESS to the Community Redevelopment Agency Closed Session Meeting at 5:56 p.m. ADJOURNED 6:24 P.M. CITY COUNCIL MINUTES 2 JUNE 7, 2010 REGULAR CITY COUNCIL MEETING CALLED TO ORDER ATTENDANCE INVOCATION PLEDGE OF ALLEGIANCE PRESENTATIONS COUNCIL CHAMBER 22 CIVIC CENTER PLAZA SANTA ANA, CA 6:12 P.M. COUNCILMEMBERS Present: MIGUEL PULIDO, Mayor CLAUDIA ALVAREZ, Mayor Pro Tern P. DAVID BENAVIDES CARLOS BUSTAMANTE MICHELE MARTINEZ VINCENT F. SARMIENTO SAL TINAJERO ABSENT: None STAFF Present: DAVID N. REAM, City Manager JOSEPH FLETCHER, City Attorney MARIA D. HUIZAR, Clerk of the Council COUNCILMEMBER BUSTAMANTE MAYOR PULIDO SPECIAL PRESENTATION provided by the Mary Bloom -Ramos, Chair, and Roman Reyna, Vice Chair of the Santa Ana Empowerment Zone Corporation on 10-Year Report EMPLOYEE SERVICE AWARDS presented by MAYOR PULIDO to: 20 YEARS OF SERVICE Silvia Cuevas, Management Analyst, Parks, Recreation and Community Services 25 YEARS OF SERVICE Florlyn Palacol-Lubatti, Accountant II, Finance and Management Services 25 YEARS OF SERVICE Christina L. Spina, Senior Library Technician, Parks, Recreation and Community Services CITY COUNCIL MINUTES 3 JUNE 7, 2010 30 YEARS OF SERVICE Suzette Caddell, Police Communications Manager, Police Department SPECIAL PRESENTATION — Retired Santa Ana Fire Chief Marc Martin expressed his gratitude to the City Council, community, and fire personnel PROCLAMATION presented by MAYOR PRO TEM ALVAREZ to Richard Porras in recognition of AT&T's "Don't Text and Drive" campaign. PROCLAMATION presented by COUNCILMEMBERS BENAVIDES AND BUSTAMANTE to Craig Erion and Jeff Witten of Two Brothers Racing in recognition of their 25tn Anniversary. CERTIFICATE OF RECOGNITION presented by COUNCILMEMBER BUSTAMANTE to Steve Strombeck, founder of the Performing Arts Guild of Orange County, for providing free music and dance lessons to Santa Ana youth. CERTIFICATE OF RECOGNITION presented by COUNCILMEMBER MARTINEZ to Santa Ana High School student Lizette Tenorio for winning second place at the Girl's High School Folk -Style Wrestling Nationals. CERTIFICATES OF RECOGNITION presented by COUNCILMEMBER TINAJERO to Jareth Carbajal, Jose Gomez, Stephanie Valenzuela, Adrian Hernandez, Kayla Stephens and Aaron Raya for winning first place at the Intermediate Intramural Track Meet. AGENDA ITEMS TAKEN OUT OF ORDER 75B PUBLIC HEARING - RESOLUTION REVISING THE METERED WATER RATE AND SEWER SERVICE CHARGE OF THE CITY - Public Works Agency Legal Notice published in the O.C. Reporter on May 21, 2010 and May 28, 2010. Council discussion ensued. Staff asked to return to council if emergency arises (either safety or infrastructure). MOTION: Table matter indefinitely and direct staff to amend Fiscal Year Budget 2010-11 as necessary. MOTION: Benavides SECOND: Tinajero VOTE: AYES: Alvarez, Benavides, Bustamante, Martinez, CITY COUNCIL MINUTES 4 JUNE 7, 2010 Pulido, Sarmiento, Tinajero (7) NOES: None (0) ABSTAIN: None (0) ABSENT: None (0) CLOSED SESSION REPORT — City Attorney Fletcher provided a report Consent Calendar Item 19A. CONSENT CALENDAR ITEMS Refer to MOTION: Approve staff recommendations on Consent Calendar Items 10A through 25D with the following modifications: • Pulled Item 25F, at the request of staff; • Pulled Items 22B and 25E for public speaker and separate discussion; • Mayor Pro Tern Alvarez voted "no" on Item 19C; and • Councilmember Sarmiento abstained on Item 10A. MOTION: Martinez VOTE: MINUTES 10A AYES: NOES: ABSTAIN: ABSENT: SECOND: Alvarez Alvarez, Benavides, Bustamante, Martinez, Pulido, Sarmiento, Tinajero (7) None (0) None (0) None (0) ADMINISTRATIVE MATTERS MINUTES OF THE REGULAR MEETING OF MAY 17, 2010 - Clerk of the Council Office MOTION: Approve Minutes. CITY COUNCIL MINUTES 5 JUNE 7, 2010 * Councilmember Sarmiento abstained on Item 10A. BOARDS / COMMISSIONS / COMMITTEES 13A APPOINTMENT — ENVIRONMENTAL AND TRANSPORTATION ADVISORY COMMITTEE (ETAC) - Clerk of the Council Office MOTION: Appoint Carla Elisa Kimberly "Kim" Olson (Ward 1 resident) to the Environmental and Transportation Advisory Committee nominated by Councilmember Sarmiento as the Ward 1 representative for a term expiring December 11, 2012. (replacing F. Rivera) MISCELLANEOUS ADMINISTRATION 19A CLOSED SESSION REPORT — City Attorney's Office MOTION: Find that there was a need to take immediate action on Item 213 (See Community Redevelopment Minutes page 2) and that the need arose subsequent to the posting of the Closed Session Agenda. CONFERENCE WITH LEGAL COUNSEL — ANTICIPATED LITIGATION pursuant to Government Code Section 54956.9(b)(1). Potential challenges to the Transit Zoning Code EIR by Friends of Lacy Historic Neighborhood and Citizens for Responsible Equitable Environmental Development. MOTION: Approve stipulation agreement with Michael Foote, WCAB case numbers: ADJ716154; ADJ1154485 in the amount of $141,566 19B EXCUSED ABSENCES - None 19C DESTRUCTION OF OBSOLETE CITY RECORDS - City Manager's Office - Clerk of the Council Office MOTION: Approve the requests for the destruction of obsolete records from various City departments in accordance with the retention schedule outlined in City Council Resolution 2006-045. *Mayor Pro Tern Alvarez recorded a "no" vote on Item 19C. 19D ADEQUATE SITES PROGRAM REPORT WITH THE CALIFORNIA DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT - 703 N. LACY - Community Development Agency CITY COUNCIL MINUTES 6 JUNE 7, 2010 MOTION: Receive and file. BUDGETARY MATTERS SPECIFICATIONS — PURCHASE OF EQUIPMENT AND SERVICES 22A 22C MOTION: Award in accordance with Request for Council Action. (Items 22A and 22C) SPEC. NO. 10-020 AND 10-021 - CISCO MAINTENANCE, EQUIPMENT & LICENSING - Finance & Management Services MOTION: 1. Award a contract to Intelli-Fax Inc. for the purchase of Cisco SMARTNet maintenance in an amount not exceed $26,000. 2. Award a contract to EnPointe Technologies for the purchase of a core router, switching equipment and edge routers in an amount not to exceed $183,000. George Garcia commented on this item. MOTION: Award a contract to R.B. Welding, Inc. for an amount not to exceed $53,000 (Public Works Agency) - Finance & Management Services MOTION: Bustamante VOTE: AYES: NOES: ABSTAIN: ABSENT: SECOND: Sarmiento Alvarez, Benavides, Bustamante, Martinez, Pulido, Sarmiento, Tinajero (7) None (0) None (0) None (0) SPEC. NO.09-010 - ON -CALL SANITARY SEWER LINING SERVICES - Renew the contract with RePipe-California, Inc. for a one-year period in an CITY COUNCIL MINUTES 7 JUNE 7, 2010 amount not to exceed $500,000 (Public Works Agency) - Finance & Management Services AGREEMENTS MOTION: Authorize the City Manager and Clerk of the Council to execute the following agreements, subject to non -substantive changes approved by the City Manager and City Attorney. (Items 25A through 25D and 25F) 25A AGMT NO. 2010-088 - COMPREHENSIVE PHYSICAL EVALUATIONS, HEALTH SCREENING, AND VACCINATIONS - Execute an amendment with Tustin -Irvine Medical Group in an amount not to exceed $70,000 - Fire Department and Personnel Services Agency 25B AGMT NO. 2010-089 - TELEPHONE SYSTEM MAINTENANCE - Execute an amendment with NEC Unified Solutions, Inc. to exercise an option for the second one-year extension to the existing agreement for an amount not to exceed $220,000 per year - Finance & Management Services 25C AGMT NO. 2010-090 - DOWNTOWN OFFICE LEASE EXTENSION - Execute an amendment with Fiesta Marketplace Partners #1 - Community Development Agency 25D FUNDING ALLOCATIONS FOR THE U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT HOUSING OPPORTUNITIES FOR PERSONS WITH AIDS PROGRAM FISCAL YEAR 2010-2011 - Community Development Agency MOTION: 1. AGMT NO. 2010-091 - Cooperative agreement between the City of Santa Ana and the Housing Authority of the City of Santa Ana in the amount of $600,000 for a one-year term for the ongoing administration of the Tenant -Based Rental Assistance Program 2. AGMT NO. 2010-092 - Cooperative agreement with the County of Orange Health Care Agency in the amount of $821,133 for a one-year term to provide supportive housing services to HIV/AIDS individuals in the County of Orange CITY COUNCIL MINUTES 8 JUNE 7, 2010 MOTION; Pulled item, at the request of staff. AGENDA ITEMS TAKEN OUT OF ORDER COUNCIL RECESSED TO THE COMMUNITY REDEVELOPMENT AGENCY MEETING AT 7:45 P.M. FOLLOWED BY THE HOUSING AUTHORITY MEETING AT 7:46 P.M. COUNCIL RECONVENED AT 7:46 P.M. WITH ALL MEMBERS PRESENT George Garcia commented on this item. Council discussion ensued; requested staff review communication received on the item. MOTION: Continue consideration of matter to June 21, 2010. MOTION: Alvarez SECOND: Sarmiento VOTE: AYES: Alvarez, Benavides, Bustamante, Martinez, Pulido, Sarmiento, Tinajero (7) NOES: None (0) ABSTAIN: None (0) ABSENT: None (0) **END OF CONSENT CALENDAR** BUSINESS CALENDAR ITEMS RESOLUTIONS 55A APPROPRIATION ADJUSTMENT ACCEPTING FY 2009 INTEROPERABLE EMERGENCY COMMUNICATIONS GRANT PROGRAM - Police Department CITY COUNCIL MINUTES 9 JUNE 7, 2010 MOTION: 1. Adopt a resolution. RESOLUTION NO. 2010-020 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA AUTHORIZING THE CITY MANAGER AND/OR THE CHIEF OF POLICE TO ENTER INTO AN AGREEMENT WITH THE STATE OF CALIFORNIA EMERGENCY MANAGEMENT AGENCY FOR THE FY2009 INTEROPERABLE EMERGENCY COMMUNICATIONS GRANT PROGRAM 2. Approve an Appropriation Adjustment. (Requires five affirmative votes) APPROPRIATION ADJUSTMENT NO. 2010-153 - Recognizing the FY 2009 Interoperable Emergency Communications Grant Program in the amount of $2,200,786 in revenue account and appropriate same in the FY 2009 Interoperable Emergency Communications Grant Program expenditure accounts MOTION: Benavides SECOND: Martinez VOTE: AYES: Alvarez, Benavides, Bustamante, Martinez, Pulido, Sarmiento, Tinajero (7) NOES: None (0) ABSTAIN: None (0) ABSENT: None (0) 55B EXTENSION OF CONDITIONAL USE PERMIT NOS. 2008-01 AND 2008-02 AND VARIANCE NO. 2008-02 TO ALLOW THE OCCUPANCY OF A VACANT BUILDING - 1005 SOUTH HARBOR BLVD. - Planning and Building Agency MOTION: Adopt a resolution. RESOLUTION NO. 2010-021 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA FOR THE EXTENSION OF CONDITIONAL USE PERMIT NO. 2008-01 AS CONDITIONED, CONDITIONAL USE PERMIT NO. 2008-02 AS CONDITIONED, AND VARIANCE NO. 2008-02 AS CONDITIONED FOR ONE YEAR FOR THE PROPERTY LOCATED AT 1005 SOUTH HARBOR BOULEVARD MOTION: Bustamante SECOND: Benavides CITY COUNCIL MINUTES 10 JUNE 7, 2010 VOTE: AYES: PUBLIC HEARINGS Alvarez, Benavides, Bustamante, Martinez, Pulido, Sarmiento, Tinajero (7) NOES: None (0) ABSTAIN: None (0) ABSENT: None (0) 75A PUBLIC HEARING - FISCAL YEAR 2010-2011 - PROPOSED CITY BUDGET - Finance & Management Services Public hearing to consider the City's Fiscal Year 2010-2011 Budget and related matters. Legal Notice published in O.C. Register on May 28, 2010 and June 4, 2010. Staff report presentation by Francisco Gutierrez, Executive Director of Finance and Management Services Budget Overview Economic Overview • Economy showing mixed signs of a recovery • Sales tax has fallen over 27% since it's high in FY2006-07 • Median home prices down 40% • Property Tax still declining • Commercial Real Estate in Crisis State Budget Impacts • State has an estimated $19.1 billion deficit • Raid of $2.05 billion in local Redevelopment funds -City of Santa Ana portion: •$17.8M in May 2010 •$3.7M in May 2011 • Transportation Revenues -Prop. 42 and Gas Tax Swap -9 Month Gas Tax Deferral CITY COUNCIL MINUTES 11 JUNE 7, 2010 Government Funds Revenue Source Community Development Others12,274,180 (2.7%) Special Revenue Funds $21281,386 (4.8%) Cepkal projects -Grants & 111sc.$28,679,419 (6.4%) OttrerFmdupriss Funds $35,022,025 (7.9%) Housing Assistance $37,697.505 (8.4%) Water Enterprise $51.695.584 (11.5%) Redevelopment Tares $64,041,920 (14.3%) Government Funds Appropriations CDBG & Other Grants GF Related Special Revenues $12,274,180 (M) $1,584.097 (0.3%) Special Revenue $25.669.058 (5-4%) Odd Enterprise Funds $39,230,850 (8.3%) Cap"! Projects $42,991,809 (9.1%) Redevelopment Agency $61,878,445 (13%) General Fund (Includes Transfers) $197,124,495 (41.6%) CITY COUNCIL MINUTES 12 JUNE 7, 2010 7-Year General Fund Budget Trend 240 220 200 180 100 140 120 100 FY0446 FY060 FYOW "Pmposed FY07-M FYNS FYW10 FY10-1f" General Fund Major Revenue Trend Sales Tax Property Tax Utility Users Tax Property Tax in Lieu VLF 50 45 -9 44.6 40 _ as to 35 — 0 320 � 30 28.7 28.3 281 26.4 25.5 25 20 15 10 FY06-07 FY07-0R .Adopted —Proposed FY" FY 09-10' FY 10-11" COUNCIL RECESSED AT 7:55 P.M. AND RECONVENED AT 8:08 P.M. WITH SAME MEMBERS PRESENT CITY COUNCIL MINUTES 13 JUNE 7, 2010 General Fund 11 Revenue Sources Hotel Visitors Tax Franchise Fees Trsnsfas to $5,276,849 (2.7%) S2,700,977 (1.4%) — $7.332,182 (3-7%) r Sales Tax $32,779,107 (166%) Charges for Services & Fees $9,022,9784.6%) FA BusYws Tu $10.030,000 (5.1%) Licenses, Permits & Fines $10,496,563 (5.3%) Property Tax i'L6 860192 (13.6%) 9 Intergovemmental 5%) - i12,7611964 (6 Other Revenue & Tues Utility Users Tax $13.315,438 (6_8%) $26,557,439 (13.5%) Use of Money & Property $14,880,642 (7.5%) Property Tax In -Lieu VLF $25,107,164 (12.7%) Public Safety as a Percentage of Total General Fund Budget Noo-Public Safety Public Safety 250 $243 1M $213.4M .2M $217.8M kcal $1971M 150 � 0 6ib1L 6&8% 02% 100 50 3Z6'!G 30.87L ' 28.6% 3 0 -. FY 06-07 FY 07-08 FY WN FY 09-10 FY 10-11" Note: PD Facility Debt Service is Included in Non Public Safety »Pmposed CITY COUNCIL MINUTES 14 JUNE 7, 2010 General Fund 11 Appropriations Police Public Worlo Agency $4,674,000 (24%) Planning & Building Clerk of the Council f616,645 (0.3%) $8,323,215 (4 2%) Finance & Mgmt. Services $3,972,655 (2.0%) Personnel f 1,418,680 (0.7%) Parks & Recreation $16,216,000 (8 2%) �' a 4 Bowers KMseu n $1,517,510 (0.8%) City kbnager f 1,625,930 (0 8%) All Others City Attorney f 1,%0,515 (1.0%) $22,569,420 0 (48 8°% F ire ' Includes $9,094,075 Police Building Debt Service Translers ut $2,238,910(1 f2,238,910 (1.2%) )5,195 29%)Ibn-Departmental' $13,191,230 (, 7%) Proposed Workforce Changes for FY 2010-11 — Number of full-time Employees 2000 1500 1000 _500 87- 89- 89- 90- 91- 92- 93- 94- 9S W 97- 96- 99- 00- 01- 02- 03- 04- OS 06- Of- O9- 09- 10. 88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 06 09 10 11 Proposed Workforce Changes • Changes in full-time workforce count: o Eliminate 123 full-time positions, many already vacant o Includes approximately 20 previously unfunded positions • Reallocations o Include approximately 15 position reallocations which allows for: o Restructuring of the Recreation Division into 6 districts CITY COUNCIL MINUTES 15 JUNE 7, 2010 o Reorganization of the PWA Transportation Division o Reclassification of positions to actual work role and function Miscellaneous Fees and Fee Adjustments • New and Modified Fees • Recommending No CPI adjustment • 12 new fees: • Administrative and Digital Services • Reservation and Rental • Citation and HazMat • Modifications to 10 fees: • Administrative Citation • Recreation and Rental • Notice of Abatement • Newsbox FY 2010-11 Capital Improvement Program • Neighborhood Improvements $12,231,167 • Arterial Improvements $25,881,582 • Traffic Improvements $2,179,845 • Infrastructure Improvements $8,400,000 • City Facility Improvements $2,676,630 • Park Improvements $1,840,215 • TOTAL FY 10/11 CIP: $53,209,439 • TOTAL 7-YEAR CIP: $274,474,976 Budget Strategies • Maintain hiring freeze and other expenditure reduction measures • Continue to work with all employee groups to negotiate short-term and long-term systemic cost -saving concessions Public Hearing opened at 8:13 p.m. The following speakers spoke in opposition to proposed budget: Jesus David Rodriguez, George Garcia, and Cecilia Flores. The Hearing closed at 8:18 p.m. Council discussion ensued. Council urged all employee unions to negotiate in good faith in light of the economic situation of the City and State. Council requested staff to review adult soccer fees and perhaps modify the fee schedule. MOTION: 1. Place ordinance on first reading and authorize publication. ORDINANCE NO. NS-2805 - AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA ANA APPROPRIATING MONIES TO THE CITY COUNCIL MINUTES 16 JUNE 7, 2010 SEVERAL OFFICES, AGENCIES AND DEPARTMENTS OF THE CITY FOR THE FISCAL YEAR COMMENCING JULY 1, 2010 2. Adopt a resolution. RESOLUTION NO. 2010-022 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA TO AMEND RESOLUTION NOS. 82-110 AND 91-066 TO EFFECT CERTAIN CHANGES TO THE CITY'S BASIC CLASSIFICATION AND COMPENSATION PLANS 3. Adopt a resolution. RESOLUTION NO. 2010-023 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA ESTABLISHING A UNIFORM SCHEDULE OF MISCELLANEOUS FEES FOR FISCAL YEAR 2010- 2011 AND REPEALING IN PART RESOLUTION NO. 2009-030 MOTION: Alvarez VOTE: AYES: NOES: ABSTAIN: ABSENT: SECOND: Benavides Alvarez, Benavides, Bustamante, Martinez, Pulido, Sarmiento, Tinajero (7) None (0) None (0) None (0) COUNCIL RECESSED TO A JOINT SESSION BETWEEN CITY COUNCIL AND COMMUNITY REDEVELOPMENT AGENCY MEETING AT 8:32 P.M. Mayor Pulido indicated that he had a conflict of interest and would be excusing himself from Agenda Item 80A due to proximity of business; Mayor Pro Tern Alvarez also excused herself due to a campaign contribution; and Councilmember Sarmiento excused himself due to his business representation of some residents in the immediate area — all left the dais at 8:33 p.m. and did not participate in consideration of these items. MOTION: Appoint Councilmember Bustamante to Chair the meeting (pursuant to SAMC 2-101 due to unavailability of Mayor and Mayor Pro Tem). MOTION: Martinez SECOND: Benavides VOTE: AYES: Benavides, Bustamante, Martinez, Tinajero (4) NOES: None (0) CITY COUNCIL MINUTES 17 JUNE 7, 2010 ABSTAIN: None (0) ABSENT: Alvarez, Pulido, Sarmiento (3) AGENDA ITEM TAKEN OUT OF ORDER CITY COUNCIL MEETING RECONVENED AT 8:33 P.M. TO CONSIDER PUBLIC COMMENTS • Lisann Martinez - spoke on Go Local project; City to consider open park space in this and any new development; suggested pedestrian bridge over the river since additional traffic lane is planned. • Roy Alvarado - concerned with budget reductions and impacts on public safety; also commended on hazmat issues in the Santa Anita neighborhood. • Hershall Myatt-Chisum — representing Integrity House, requested assistance in solving a blind turn on Broadway Avenue, suggested curb cut in front of their building to solve the problem. • Alex Vega - commented on recent immigration rally that took place in front of the Federal building; complemented police department on efforts to maintain peaceful event. • Robert Flournoy - requested assistance in growing his ministry "Obras de Amor". • Albert Castillo — opined on recent grand jury report, City's Code of Ethics and Conduct, AB1234, and Brown Act. • George Garcia — proposed City sell some assets to assist with budget problem, tax plastic bags, and raise anti -graffiti reward from $500 to $1,000. • Dave Hoen — thanked council for proclaiming "Harvey Milk Day" and commented on recent LGBT Day celebration held in downtown Santa Ana. • John Raya — TKO moving back to Jerome Center, who will be having re -opening ceremony next week; reported that young fighter Luis Ramos will have HBO interview through Telefutura; and holding fundraiser on June 27th at Original Mike's. • Ruben Alvarez — concerned that public comments were taken out of order and discontent with some actions by the City. COUNCIL RECESSED TO A JOINT SESSION BETWEEN CITY COUNCIL AND COMMUNITY REDEVELOPMENT AGENCY MEETING AT 9:05 P.M. JOINT SESSION WITH THE COMMUNITY REDEVELOPMENT AGENCY 80A JOINT PUBLIC HEARING — FINAL ENVIRONMENTAL IMPACT REPOT NO. 2006-02; GENERAL PLAN AMENDMENT 2010-01; ZONING ORDINANCE AMENDMENT NO. 2010-01; AMENDMENT APPLICATION NO. 2005-09 (TRANSIT ZONING CODE); DISPOSITION AND DEVELOPMENT CITY COUNCIL MINUTES 18 JUNE 7, 2010 AGREEMENT WITH SANTA ANA STATION DISTRICT, LLC AND VARIOUS ACTIONS FOR PROPOSED DEVELOPMENT IN THE STATION DISTRICT Legal notice pertaining to the Transit Zoning Code published in the O.C. Reporter on May 28, 2010. Recommended actions approved by the Planning Commission on May 27, 2010, by a vote of 5-0. (Commissioner Betancourt abstained and Commissioner Yrarrazaval absent) Legal notice pertaining to the Santa Ana Station District, LLC published in the O.C. Reporter on May 24, 2010 and June 2, 2010. Staff report presentation by Karen Haluza, Planning Manager, and Cindy Nelson, Assistant City Manager for Development Services Transit Zoning Code and Development Proposal for Redevelopment Agency Properties Transit Zoning Code — Walk -able neighborhoods — Flexible mix of uses — Standards for quality architecture — Affordable housing incentives Transit Zoning Code Project Objectives — Provide a transit -supportive, pedestrian -oriented development framework to support the addition of new transit infrastructure — Preserve and reinforce the existing character and pedestrian nature of the City by strengthening urban form through improved development and design standards. — Encourage alternative modes of transportation, including the rail system that connects San Diego to Los Angeles. — Provide zoning for the integration of new infill development into existing neighborhoods. — Provide for a range of housing options, including affordable housing. — Allow for the reuse of existing structures. — Allow development of the Agency properties Development Proposal Objectives — Redevelop all of the Agency -owned properties — Provide new affordable housing for families in furtherance of the City's affordable housing goals established in the Housing Element, the Implementation Plan for the Santa Ana Merged Redevelopment Project Area, and the City of Santa Ana Consolidated Plan. — Enhance the streetscape and urban form of the area, particularly along Santa Ana Boulevard, with the construction of new buildings that meet the standards contained in the Transit Zoning Code and that support future transit planning. — Eliminate blight. CITY COUNCIL MINUTES 19 JUNE 7, 2010 — Provide additional public open space and facilitate a joint arrangement with SAUSD for a new community Center. — Provide an economically viable redevelopment scenario for Agency -owned properties. Environmental Impact Report — Draft EIR Released for public review on February 2, 2010. — Alternatives Section revised to analyze three additional alternative, response to a comment. — Alternatives Section re -circulated to April 12, 2010. use the Til and public review period extended — Public comment meetings held on February 22 and March 22, 2010. — Total of 16 comment letters and 14 transcribed oral comments. — Final EIR — Response to Comments — Mitigation Monitoring and Reporting Program — Findings of Fact — Statement of Overriding Considerations EIR Alternatives Analysis — Alternative 1 — No Project/No Development — Alternative 2 — Overall Reduced Density — Alternative 3 — Low -Rise Project — Alternative 4 — Rehabilitate in Place/Acquire No Additional Properties — Alternative 5 — Relocate and Rehabilitate on Agency -Owned Infill Sites — Alternative 6 — Rehabilitate 611 N. Minter Street In Place Statement of Overriding Considerations — A written statement explaining why the benefits of the project outweigh the identified environmental impacts Project Benefits — Positions the City to provide new public transit — Allows for the development of new affordable rental housing — Complies with State mandates to address climate change and housing production — Improves the regional jobs/housing balance — Creates more walk -able and connected neighborhoods — Eliminates blight — Provides new incentives for economic investment — Provides more flexibility for private property owners Planning Commission Action — Planning Commission recommended approval of the various components of the project. — Clarification on comment regarding potential demolitions. Station District Project Overview Project Goals — Create a land use/economic strategy for the area in and surrounding the SARTC to complement City's transit vision CITY COUNCIL MINUTES 20 JUNE 7, 2010 — Develop a mix of housing types at various levels of affordability — Set the standards for the quality of future development in the area — Address the needs of the Lacy Neighborhood The Journey — Issued RFQ in April 2009 — Selected Related Companies/Griffin Realty in August 2009 — Highly qualified team with wide range of experience: • Affordable housing to luxury high rise housing • Retail, commercial and office • Public facilities • Community engagement — Began community input process before first concept plan created — Key issues raised by community: • Park/open space • Affordable housing • Child care • Garfield School condition & capacity • Safety and Livability • Cultural history • Family services and programs, including jobs — Concept Plan presented to community, which included: • Mix of for sale and for rent products at various income levels • Community Center at Garfield (in conjunction with school renovation) • 1.5 acre park/open space uses — SACRed Key Issues: • Safety • Housing • Open Space • Small Business Assistance • Cultural and Historical Preservation — Commitments to Lacy Neighborhood: • Provision for child care space in R-1 community room • Public art • Reduced rent for business operator in R-1 commercial space • Historical markers - $60,000 • Targeted loan program in Lacy - $100,000 • Joint Use Agreement w/SAUSD for Garfield • 10,000 SF Community Center at Garfield Elementary • Commitment to pursue development of approx. 1.5 acre park/open space uses • Relocation plan for potential displaced residents • Inclusionary Housing Ordinance to Council Win 120 days for overlay zone The Project — R-1 74 rental units — R-2 38 rental units — 100% affordable (50% AMI w/20% at 30%AMI); 55 year covenants CITY COUNCIL MINUTES 21 JUNE 7, 2010 — F-S 32 for sale units — 6 units affordable at 120% AMI • Elevations for R-1, R-2 and For Sale depicted • Project Schedule — R-1 Commence 3/11 — R-2 Apply for Spring 2011 tax credits — F-S Commence early 2011 Public hearing opened at 9:40 p.m. The following speakers addressed the Council: • Ross Romero — representing LULAC 3097; object to passage of plan and Transit Zoning Code; concerned with inadequate response to air quality, toxic and hazardous waste, traffic, and open space. • Simon Deter — questioned new zoning changes as it relates to height district, no designation for HD2; inquired on inclusionary housing ordinance. • Joe Dixon — Assistant Superintendent of Facilities at SAUSD, supports Council's vision for increasing green space at Garfield Elementary; joint use community center of great benefit for all. • Larry Haynes — Executive Director of Mercy House, supports improved living conditions for the poor. • Barry Cottle — supports council actions proposed. • Bob Stewart — representing Empire Inc., supports project and impressed with growth and improvements throughout the City. • Vicky Baxter — read for the record letter of support by the Downtown Inc. Board of Directors. • Lisann Martinez — opined that development should employ city residents; Council to sign the Community Benefits Agreement (CBA). • Carmen Garcia — area in need of improvements; request council support to solve issues. • Antonio Bugarin — concerned with welfare of family as City proposing park in area where he lives; request Council sign CBA that guarantees affordable housing, preservation of cultural identity, history, affordable housing, park and open space, protection of small businesses and employees, and safety for community. • Maria Andrade — urged community to work together; requested Council postpone decision. • Ramon Guzman — requested council postpone decision; would like assurance that park and community center will be developed. • Paola Salgado — requested council postpone decision and sign CBA; support project with certain community guarantees; questioned agenda order and late consideration of matter. • Claudia Brena — encouraged council to postpone decisions and sign CBA. • Eunice Bobery — representing Orange Housing Corporation, Transit Zoning Code to provide long term benefits to the community, encouraged CITY COUNCIL MINUTES 22 JUNE 7, 2010 to find that open space, community facility, and affordable housing incorporated into Plan. • Eric Altman — Executive Director of Orange County Communities Organized for Responsible Development, discussed benefits of CBA, encouraged council to continue negotiations with community. • Ramona Rivera — 50 year resident would like to know impacts of plan on neighborhood. • Jeff Dickman — resident of French Park neighborhood and member of Friends of Historic Lacy Neighborhood; opined that Plan fails to address renovation of vintage homes; Council to reject EIR and ask staff to include comprehensive process for evaluation of properties to be included in Historic Registry; rehabilitate homes instead of demolish; homes to be available to SACReD residents. • Phil Chinn — commented on EIR findings - less expensive to renovate than reconstruct homes; historical building guide to be considered; reduction in the number of overall homes in the area; preservation of homes may be done by outside organizations; thanked council for investments made to Westend Theater and Spurgeon building; support SACReD and its residents. • Ben Grabiel — support zoning changes, but in opposition to demolition and acquisition of additional properties; cost analysis report distributed to council. MEETING RECESSED AT 10:25 P.M. AND RECONVENED AT 10:45 P.M. WITH SAME MEMBERS PRESENT Jay Trevino, Executive Director of Planning and Building, clarified that proposed overlay zone ordinance carry over all current zoning and land use standards, including height of the district; council considering transit zoning ordinance, not specific plan. William Boost, project manager and consultant with PBS&J Inc. apologized for error pointed out by LULAC - page 10-43 of Final EIR will be corrected; page 9-19 present toxic and hazardous waste findings; Traffic Study on page 9-77 has corrected information on appendices; provisions of parks on page 9-32, all projects will conform with Mitigation Measure MM4.10-5, Chapter 35, Article 4 of Santa Ana Municipal Code. Karen Haluza, Planning Manager, indicated that concerns raised by Jeff Dickman have been incorporated into the Response to Comments received from Brandt -Hawley Law Group in the Supplemental Addendum. Kathleen Haden, Managing Principal at Keyser Marston responded to questions on affordable housing as posed by letter from Susan Brandt - Hawley received today and by members of the public - total cost per square foot, per unit basis was incorporated in the EIR ; rehab cost / relocation cost; EIR Appendix J; summary of sale results. CITY COUNCIL MINUTES 23 JUNE 7, 2010 The hearing closed at 11:15 p.m. Council discussion ensued. Unanimous support of project and improved living conditions said development will provide. MOTION: Amendments to the Final EIR No. 2006-02, General Plan Amendment No. 2010-01, and Amendment Application No. 2005-09 (Transit Zoning Code) included in Supplemental Staff Report: • Amendments to the General Plan Land Use Element as to Flood Control • Amendment to the Transit Zoning Code Street Network Concepts as to bus/transit stops • Supplemental Response to Comments • Amendment to the Findings of Fact • Additions to the Mitigation Monitoring and Reporting Program 1. Adopt a resolution as amended by Supplemental Staff Report; Section 2.13. of resolution regarding Water Supply Assessment Study making findings that it be revised as follows: the City Council adopt the Water Supply Assessment dated January, 2010 contained in Appendix H of EIR as well as Findings of Facts and Statements of Overriding Considerations. RESOLUTION NO. 2010-024 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA CERTIFYING THE FINAL ENVIRONMENTAL IMPACT REPORT NO. 2006-02 PREPARED FOR THE PROPOSED TRANSIT ZONING CODE (SD NO. 84) AND THE PROPOSED REDEVELOPMENT OF PROPERTIES OWNED BY THE SANTA ANA REDEVELOPMENT AGENCY IN THE STATION DISTRICT, ADOPTING A MITIGATION MONITORING AND REPORTING PROGRAM, AND ADOPTING CEQA FINDINGS OF FACT AND A STATEMENT OF OVERRIDING CONSIDERATIONS 2. Adopt a resolution as amended by Supplemental Staff Report. RESOLUTION NO. 2010-025 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA AMENDING THE LAND USE ELEMENT OF THE GENERAL PLAN OF THE CITY OF SANTA ANA TO CREATE THE URBAN NEIGHBORHOOD LAND USE DESIGNATION; CREATE THE TRANSIT VILLAGE MAJOR DEVELOPMENT AREA; EXPAND THE DOWNTOWN DISTRICT CENTER; ELIMINATE THE RESIDENTIAL/INDUSTRIAL LAND USE DESIGNATION; UPDATE THE DEMOGRAPHICS; AND CONVERT THE GENERAL PLAN TO A DIGITAL FORMAT WITH A COMMON TABLE OF CONTENTS AND PAGINATION SYSTEM (GPA NO. 2010- 01) CITY COUNCIL MINUTES 24 JUNE 7, 2010 3. Place ordinance on first reading and authorize publication. ORDINANCE NO. NS-2803 - AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA ANA AMENDING CHAPTER 41 OF THE SANTA ANA MUNICIPAL CODE REGARDING TIME LIMITS FOR SPECIFIC DEVELOPMENT PLAN, MODIFICATION OF THE APPROVAL OF OVERLAY ZONE SITE PLANS, NONCONFORMING USE, AND REPEALING THE C3 AND C3-A ZONES (ZOA 2010-01) 4. Place ordinance on first reading and authorize publication. ORDINANCE NO. NS-2804 - AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA ANA ADOPTING TRANSIT ZONING CODE SPECIFIC DEVELOPMENT DISTRICT (SD-84); ADOPTING THE M1 OVERLAY ZONE; ADOPTING THE M2 OVERLAY ZONE; REZONING THE PROPERTY LOCATED AT CERTAIN REAL PROPERTY IN THE CENTRAL URBAN CORE OF SANTA ANA FROM VARIOUS ZONES TO TRANSIT ZONING CODE SPECIFIC DEVELOPMENT DISTRICT (SD-84), M1 OVERLAY ZONE AND M2 OVERLAY ZONE; AND REPEALING SPECIFIC DEVELOPMENT NOS. 30, 37, 47, 71 AND AMENDING THE HEIGHT EXEMPTION AREAS MAP (AA NO. 2005-09) 5. Adopt a resolution as amended by Supplemental Staff Report. RESOLUTION NO. 2010-026 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA APPROVING TRANSIT ZONING CODE ARCHITECTURAL STYLE GUIDELINES AND TRANSIT ZONING CODE STREET NETWORK CONCEPTS 6. Adopt a resolution. RESOLUTION NO. 2010-027 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA CONSENTING TO THE APPROVAL OF A DISPOSITION AND DEVELOPMENT AGREEMENT BETWEEN THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AND SANTA ANA STATION DISTRICT, LLC, A CALIFORNIA LIMITED LIABILITY COMPANY, AND MAKING FINDINGS IN CONNECTION THEREWITH 7. Direct staff to draft an inclusionary housing ordinance for City Council consideration within the next 120 days, covering the industrial overlay areas identified in the proposed Transit Zoning Code. 8. Direct staff to negotiate a Joint Use Agreement with the Santa Ana Unified School District for Garfield Elementary, including a provision for the development and programming of a community center. CITY COUNCIL MINUTES 25 JUNE 7, 2010 9. AGMT NO. 2010-093 - Authorize the City Attorney to prepare and City Manager and Clerk of the Council to execute a $25,000 reimbursement agreement with the Santa Ana Unified School District for purposes of engaging an architect to develop conceptual plans in furtherance of developing the project scope for a community center to be located at Garfield Elementary. 10. Direct staff to work with community members/stakeholders to facilitate development of an approximate 1.5 acre park/open space uses in the Station District. 11. Approve the expenditure of funds for a residential loan program in the Lacy Neighborhood with cumulative not to exceed the amount of $100,000 (see Agency item 6). 12. Direct staff to prepare and file a Notice of Determination (NOD) with the County Clerk of the County of Orange in the manner required by law. MOTION: Martinez SECOND: Benavides VOTE: AYES: Benavides, Bustamante, Martinez, Tinajero (4) NOES: None (0) ABSTAIN: None (0) ABSENT: Alvarez, Pulido, Sarmiento (3) COUNCIL MEETING RECONVENED AT 11:15 P.M. WITH SAME MEMBERS PRESENT COMMENTS 90A CITY MANAGER'S COMMENTS — None 90B CITY COUNCILMEMBER COMMENTS Councilmember Bustamante • Adjourn meeting in memory of retired City of Santa Ana employee Carolyn Fullerton. CITY COUNCIL MINUTES 26 JUNE 7, 2010 ADJOURNED 11:17 P.M. - The next meeting of the City Council is scheduled for Monday, June 21, 2010 at 5:00 p.m. for the Closed Session Meeting immediately followed by the Regular Business Meeting at the Police Community Center, 60 Civic Center Plaza, Santa Ana, California. Adjourn in Memory of Carolyn Fullerton Maria D. Huizar, Clerk of the Council CITY COUNCIL MINUTES 27 JUNE 7, 2010